Forecasting about currencies

GBP/USD can fall down to1.600.

eh?

u can sell GBP/USD at 1.6104 with the stoploss of 1.6154 and profit limit should be 1.6004.
Havea Happy StopLoss

I just went long at 1.6080 with a target of 1.65

6043 is support npw

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S + R = $$$

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Pound Sterling against the US dollar struck a high of 1.6047 and a low of 1.5876 yesterday, as
sterling remained pressured and hit a five-month low against a currency basket and a one-week
low against the euro after an unexpected fall in UK manufacturing output raised doubts about the
British economy's recovery prospects. Trade-weighted sterling fell to 78.0, its lowest since late
April, after data showed manufacturing output fell 1.9 percent on the month in August which was
the steepest fall since January. Expectations had been for a 0.3 percent rise. The markets brushed
off an improvement in U.K. HPI which showed a 1.6 percent monthly rise. The pound was above a
four-month low of 1.5770 hit a week ago but remained under broad, downward pressure on
expectations that a weak UK economy would require monetary policy to stay loose for some time.
The dramatic fall in UK industrial production followed a mixed bag of economic data in the past
week, and raised the prospect that the economy may not return even to slight growth later in the
year, as the UK government expects. With yesterday’s data out of the way, the market awaited a
policy announcement by the Bank of England tomorrow. The BoE is expected to keep interest
rates at a record low 0.5 percent and maintain the pace of its asset purchases. Technically, the
pound remains pressured below 1.6050.

DAILY TECHNICAL RESISTANCES AND SUPPORTS
CURRENT PRICE: 1.5891
Resistances: 1.6025 1.6150 1.6275
Supports: 1.5860 1.5750 1.5620

The Euro marked a high of 1.4762 and a low of 1.4655 against the dollar yesterday, before
remaining flat ahead of a release of economic data from the euro zone later today. The euro was boosted by a rise in risk sentiment especially in currencies after the Australian central bank raised
interest rates. Furthermore the dollar was broadly down after a report showed that certain oil
producers in the Middle East were looking to move away from pricing oil prices in the dollar, and
move into other currencies such as the Chinese Yuan and the euro. European economic data due
later today include the final GDP and German factory orders. The data is expected to show no
change in the GDP and a decline in factory orders. The ECB’s interest rate decision tomorrow is
also being awaited which would mean that the euro will remain rangebound today. The ECB is
expected to keep interest rates and its unconventional policy measures unchanged. Currency
markets also take cues from movement in the equity markets, and with stock prices rising again
this week, the euro’s downside remains limited. Technically, the euro can trade in a range of
1.4630 and 1.4760.

DAILY TECHNICAL RESISTANCES AND SUPPORTS
CURRENT PRICE: 1.4704
Resistances: 1.4755 1.4825 1.4890
Supports: 1.4630 1.4525 1.4375

USD/JPY marked a high of 89.63 and a low of 88.61 yesterday, before the pair edged down
towards an eight month low of 88.23 today after the dollar carried over its broad weakness from yesterday. The pair was further pressured by new comments from Japanese Finance Minister
Hirohisa Fuji as he stated the current level of the yen is consistent with acceptable market activity.
Fujii also repeated his stance that the government should avoid intervention in currency markets in
general, but that it may need to act in the markets under extreme circumstances. The dollar has
been pressured since the weekend after the G7 countries failed to address concerns about recent
weakness in the U.S. currency. Moreover, after a report yesterday stated that Arab oil producers
were looking to explore avenues to move away from pricing oil in dollars, the dollar was battered
even more. The dollar has been in a recent downward spiral on concerns about mounting U.S.
debt, with organizations such as the World Bank calling for central banks to diversify reserves
away from the dollar. Technically, the USD/JPY pair can edge down towards 88.10.

DAILY TECHNICAL RESISTANCES AND SUPPORTS
CURRENT PRICE: 88.70
Resistances: 89.75 90.40 91.00
Supports: 88.52 88.10 87.70

The Euro marked a high of 1.4966 and a low of 1.4848 against the dollar on Friday, before the euro
held off 14 month highs as the safe-haven dollar gained respite due to poor earnings from General
Electric and Bank of America. The euro has also been edging down on speculation policy makers
will show concern about the European currency’s recent strength at a meeting today. Moreover, a
decline in Asian stocks today has also curbed appetite for higher yielding currencies, thereby,
allowing the dollar to rise. The euro’s fall has been attributed to comments made last week by
Luxembourg Prime Minister Jean-Claude Juncker when he said the currency’s gains would be
discussed at a gathering of euro-area finance ministers in Luxembourg today. The currency
markets would also be tracking trends in the equity markets particularly on Wall Street in order to
assess investor’s risk sentiment. Wall Street will continue to be largely driven by corporate earning
reports that will be released this week with Apple Inc being the most important company reporting
today. Technically, the euro can be pressured below 1.4965.
DAILY TECHNICAL RESISTANCES AND SUPPORTS
CURRENT PRICE: 1.4872
Resistances: 1.4965 1.5020 1.5100
Supports: 1.4820 1.4735 1.4650